Under what conditions does Extreme Art Studio have the right to refuse a franchisee's request?

codes, street boundaries, and county boundaries or depicted on a map included on Attachment B-1 or the applicable Extreme Art Rider. .

• 1.6 TERRITORIAL RIGHTS WE RESERVE. Except as expressly limited by Section 1.5 above, you acknowledge and agree that we (and our affiliates) retain all rights with respect to the placement of Extreme Art Studio Businesses and other businesses using the Marks, the sale of similar or dissimilar products and services, and any other activities. These rights include, without limitation:
  • 1.6.1 the right to establish and operate, and allow others to establish and operate, other Extreme Art Studio Businesses and other art studio businesses and/or businesses offering On the Go Services using the Marks and the System, holding classes at any location outside the Territory of your Extreme Art Studio Businesses and on such terms and conditions we deem appropriate;
  • 1.6.2 the right to establish and operate businesses similar to the Extreme Art Studio Business anywhere under other trade names, trademarks, service marks and commercial symbols different from the Marks;
  • 1.6.3 the right to use the Marks and the System to sell any products or services the same as or similar to those that you will sell through any alternative channels of distribution within or outside of the Territory including retail locations and other channels of distribution such as television, mail order, catalog sales, wholesale to unrelated retail outlets, or over the Internet;
  • 1.6.4 the right for us and our affiliates to offer, franchise and license the right to offer each of the modules described in Section 3.7 of this Franchise Agreement;
  • 1.6.5 the right to merge, develop or acquire, or be acquired by (whether through acquisition of assets, ownership interests, or otherwise, regardless of the form of transaction), one or more additional concepts or businesses: (i) providing products and services similar to those provided at Extreme Art Studio Businesses; and/or (ii) creating or maintaining franchises, licenses, or similar arrangements with respect to these businesses, wherever these businesses (or the franchise owners or licensees of these businesses) are located or operating (including in the Territory of any of your Extreme Art Studio Businesses);
  • 1.6.6 the right to offer products and services offered by Extreme Art Studio Businesses under the Marks or any other trade names, trademarks, service marks, or commercial symbols that are the same as or different from Extreme Art Studio Businesses, at any special event, conference, exhibition, or temporary venue (including in the Territory of any of your Extreme Art Studio Businesses);

Source: Item 22 — CONTRACTS (FDD page 49)